An Overview of the DOL’s Most Recent Tip Pooling Guidance

On September 30th, 2025, the United States Department of Labor released guidance on specific issues related to tip pooling by employers. The matter in question involved front-house oyster shuckers at a restaurant. In this article, you will find an overview of the issue, the DOL’s guidance, and the implications for tip pooling more broadly in Florida.

What is Tip Pooling? 

Broadly explained, tip pooling is the practice of combining gratuities from multiple employees and redistributing them among a group. Under the Fair Labor Standards Act (FLSA) and Florida law, tip pools must be limited to workers who customarily and regularly receive tips, such as servers or bartenders. Employers and managers cannot take a share. When done lawfully, tip pooling is a way to balance earnings across tipped staff. However, an improper tip pooling arrangement could be a violation of the FLSA and/or Florida law. An employer may face liability.

Company Reached Out to DOL for Guidance

The Wage and Hour Division of the DOL issued an opinion addressing whether front-of-house oyster shuckers may lawfully participate in a tip pool with servers under FLSA after receiving an inquiry from an employer. Upon review, the agency concluded that front-of-house oyster shuckers stationed at the bar, who prepare oysters in customer view, answer questions, and provide suggestions, qualify as employees who “customarily and regularly” receive tips.

As such, employers may include them in a traditional tip pool where a tip credit is taken for servers. The DOL compared their role to sommeliers and sushi chefs, occupations long recognized as tipped positions. However, kitchen-based shuckers without customer interaction cannot be included in a tip pool. The ruling confirms that visible, interactive service roles meet the tipped employee standard. On the other hand, back-of-house support staff generally do not qualify for tip pooling. 

A Lesson for Employers in Florida 

Tipped pooling regulations matter, especially for restaurant and hospitality industries. Florida employers operating restaurants and hospitality businesses must exercise caution when creating tip pooling arrangements. A big lesson from this opinion from the DOL is that only employees in occupations that “customarily and regularly” receive tips may be included in a valid pool when the tip credit is taken. The DOL has clarified that front-of-house oyster shuckers who interact directly with customers may be treated as tipped employees. However, back-of-house workers, such as kitchen staff without customer contact, cannot lawfully share in pooled tips. For employers in Florida, proactive compliance is a must.

Note: If ineligible employees are included within a tipped worker pooling system, the employer could potentially be exposed to liability on the grounds of an FLSA wage and hour violation. 

Get Help From a Florida Wage and Hour Lawyer Today 

Wage and hour cases can be complicated, especially in regards to tip pooling. If you have any questions or concerns about tip pooling, please do not hesitate to contact a Florida employment lawyer for a completely confidential initial consultation.